Wake County District Court Judge Jane Gray sentenced McMillan to
an eight-month minimum, 10-month maximum active prison sentence with
the North Carolina Department of Corrections.

The state’s evidence showed that McMillan filed a North Carolina
individual income tax return representing that she was employed by
a local business, received income from the business and had North
Carolina income taxes withheld from her income. The evidence further
showed that McMillan was not employed by the business, did not receive
the income and did not have taxes withheld as indicated on the tax
return. As a result of the information contained in the return, the
Department of Revenue issued an income tax refund to McMillan that
she was not entitled to receive.

The charge against McMillan resulted from an investigation by a special
agent with the Department’s Criminal Investigations Division
in Raleigh. The investigation into taxpayers filing fictitious returns
using fraudulent wage and tax statements continues and more arrests
are expected.